.

        IMA

India’s rPET industry facing deadlock; lack of guidelines

India’s rPET industry facing deadlock; lack of guidelines

India’s recycled PET (rPET) industry is facing poor uptake of recycled plastic by major brand owners due to proposed amendments to the Plastic Waste Management (PWM) Rules by the government.

Despite the Ministry of Environment, Forest and Climate Change (MoEFCC) mandating the use of 30% recycled content in rigid Category-1 PET packaging used by beverage companies, effective from April 1, 2025, brand owners are delaying compliance, citing the proposed changes to the PWM rules.

According to the Association of PET Recyclers (Bharat), a coalition of companies in India dedicated to the responsible recycling of PET, massive investments are at risk as brand owners delay compliance with recycled plastic targets.

The MoEFCC's proposed amendment, issued on June 3, 2025, allows brand owners to carry forward shortfalls in meeting the 30% r-PET target for food contact applications for 2025-26 over the next three years.

This leeway, according to industry insiders, has emboldened some brand owners to assume an eventual rollback or relaxation of the target, resulting in delayed or avoided purchase of r-PET.

The r-PET industry has so far invested an estimated US$80 million, with a total planned capacity of 4 million tonnes, of which 1.5 million tonnes is already operational and Food Safety and Standards Authority of India (FSSAI)-authorised, and another 1.5 million tonnes scheduled to become FSSAI authorised soon.

While the FSSAI has issued updated guidelines in line with the PWM provisions, allowing the use of rPET in food-contact applications, brand owners and retailers are adopting a “wait and see” stance.

Industry voices warn that this disconnect between policy intention and ground-level implementation may undo years of progress and jeopardize India's international climate and sustainability commitments.

"Recyclers have taken bold steps, investing in world-class food-grade compliant r-PET plants. But if enforcement remains weak and brand owners keep defaulting, we fear the entire circular economy framework could collapse, in similar lines to what is happening in EU Nations," Shailendra Singh, Director General, APR (Association of PET Recyclers), Bharat, said.

As India positions itself as a global champion of sustainable development, the disconnect between regulatory ambitions and on-ground reality now poses a serious threat to the credibility of its green transition narrative.

Subscribe to Get the Latest Updates from IMA  Please click here



©2025 Injection Moulding Asia. All rights reserved.